At the end of last week consulting firm LEK released a survey that grabbed several headlines for its topline finding that even as number of cord-cutters continues to grow, there are emerging signs that the streaming market has become oversaturated, as skinny bundles and genre-focused services join the competition for eyeballs in the digital space.
However, another finding in the survey was of particular interest to us at Airbeem:
Among other trends discovered, LEK found that targeted content and budget pricing do not guarantee success — evidenced by the suspension of NBC’s $3.99/month SeeSo comedy streaming service after less than two years — and Consumers are now at the point where aggregators of services are of growing appeal.
While the big players, like Netflix, are already winning, we expect genre-based services that successfully cater to niche tastes will also have a role to play. Niche services will need to continuously update high-quality content, while ensuring their programming will resonate with their fickle audience.
This underscores one of the key points that we emphasise to our customers and to the market as a whole – that it is more important than ever for content owners that want to go down the direct to customer route partner with platform providers that understand the nature of their business and challenges. This means not being committed to significant upfront fees in order to get a platform off the ground, as these can be crippling for new services when starting out.
At Airbeem, we apply a business model that has eschews setup fees, backed by SaaS based pricing that ensures our clients can grow their business at a sustainable pace, investing in the content and audience engagement tools that LEK rightly feels cites as being so key to keeping viewers engaged with the service.
For more information about our platform, services and business model, or to arrange a demo, get in touch with us.Contact Airbeem